Boseong-gun to Establish Lacquer Tree Cluster Complex... Promoting Private Sector Competition

[Asia Economy Honam Reporting Headquarters Reporter Park Yong-chul] Boseong-gun, Jeollanam-do announced on the 13th that it will invite private businesses to participate in the ‘2020 Boseong Ot Tree Cluster Complex Development Project’ until the 28th.

The business operators can promote ▲Forest Products Production Area Integrated Distribution Center ▲Forest Products Processing Industry Activation Project, with a total project cost of 2 billion KRW (50% national subsidy, 20% local subsidy, 30% self-funding).

The Forest Products Production Area Integrated Distribution Center can establish distribution-related lines such as logistics/simple processing and hub/complex processing lines within 1 billion KRW.

The Forest Products Processing Industry Activation Project must be carried out by establishing or supplementing processing facilities within 1 billion KRW to 2 billion KRW.

Applications must be from producer organizations (such as farming associations, agricultural companies, forest cooperatives) targeting ‘Ot tree’ as the business subject. If the producer organization handles multiple agricultural or forest products, only those with an Ot tree handling ratio of 60% or more are eligible to apply.

For the logistics/simple processing field in the Forest Products Production Area Integrated Distribution Center project, the corporation must have at least 1 year of operation experience, total capital investment of 100 million KRW or more, secured capital at least equal to the self-funding amount, and at least 5 farmer members (farmer shareholders). For agricultural companies, the farmer equity must be at least one-tenth.

For hub/complex processing, the corporation must have at least 3 years of operation experience, total capital investment of 300 million KRW or more, secured capital at least equal to the self-funding amount, operate at least 200 days annually, and have 30 farmer members (farmer shareholders).

For the Forest Products Processing Industry Activation Project, the corporation must have at least 2 years of operation experience, total capital investment of 100 million KRW or more, secured capital at least equal to the self-funding amount, and at least 5 farmer members (farmer shareholders). Agricultural companies must have farmer equity of at least one-tenth, recent annual forest product sales of 500 million KRW or more, and be engaged in processing and distribution business using forest products as raw materials or require facility remodeling.

Meanwhile, the Boseong Ot Tree Cluster Complex Development Project is a private recruitment project conducted to strengthen the competitiveness of the Ot industry by establishing Ot tree cultivation complexes suited to regional characteristics and focusing on fostering high value-added forest resources using Ot trees.